REPORT OF THE COMPTROLLER OF THE TREASURY. vii

1900. At that time the Company tendered payment to the State of
the $1,500,000. The Treasury officials believing such tender, if
made at all, should have been made within the ten years prescribed
in said agreement, refused to accept the same, whereupon the
Northern Central Railway Company entered,suit to. compel the
State to accept the tender offered as extinguishment of the debt.
The contention of the said Railway Company was denied by the
lower court, from which decision an appeal was entered by the
Company to the Court of Appeals." which court affirmed the de-
cision of the lower court. Upon an appeal to the Supreme Court
of the United States, the case was finally decided by said tribunal
in favor of the State.

The State was represented in this case through its entire course
by the Hon. Isidor Rayner, Attorney-General, to whose legal
ability the success of the.State was largely due.

It is but proper to mention here, that said statement "A" does
not show any item from the tax on. Baltimore City stock. A sum
very much less than previous years was forwarded by the City
Register for the year 1902, which I did not feel justified in ac-
cepting as a proper payment. After consulting with the Attorney-
General in relation to the matter, I accepted the same as so much
on account of the tax for the year, and suit, which is now pending,
has been brought to recover the balance. The sum tendered was
received on October 1, and, therefore, is not shown in this fiscal
year.

DISBURSEMENTS.

In statement "B" you will find in detail the character of dis-
bursements and the Acts of Assembly authorizing the same, ag-
gregating $3,416,376.71, or a sum of $295,750.34 in excess of that
of the year previous, which was occasioned largely by increased
payments to Manual Training Schools, the appropriation to the
Charleston and Pan-American Exposition, and the necessary ex-
penses incidental to a legislative year, leaving the large balance in
the Treasury of $1,187,295.68. From this sum there must be de-
ducted the sum of $556,453.76, in order to ascertain the normal
balance in the Treasury of $630,841.92.

The Legislature of Maryland, at its session in 1900, Chapter
607, and again at its session in 1902, Chapter 200, as heretofore
mentioned, made two bond issues, viz.: "State Building and Im-